Wp/10852/2025 Of Govindaiah Halasinamaradoddi v. Income Tax Officer

Digitallysigned byCHANDANAB MLocation:High CourtofKarnataka IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9 DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR -WRIT PETITION NO. 10852 OF 2025 (TIT) BETWEEN: GOVINDAIAH HALASINAMARADODDI VENKATASWAMAIAH NO. 01, KENCHANAKUPPE, AGED ABOUT 49 YEARS BIDADI, RAMANAGAR 562 109, PAN . …PETITIONER (BY SRI. RAVI SHANKAR S V.,ADVOCATE) AND: 1. INCOME TAX OFFICER WARD 4(3)(2), BANGALORE 560 095. WARD 4(3)(2), BANGALORE 560 095. 2. NATIONAL FACELESS ASSESSMENT CENTRE, ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/INCOME TAX OFFICER, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE ROOM NO. 401, 2 FLOOR, E-RAMP, JAWAHARLAL NEHRU STADIUM, DELHI 110 003 …RESPONDENTS (BY SRI.SUSHAL TIWARI, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO-I) ISSUE A WRIT OF CERTIORARI OR DIRECTION IN THE NATURE OF A WRIT OF CERTIORARI QUASHING THE ORDER PASSED U/S 143(3) R.W.S 144B OF THE ACT DATED 04/03/2025 BEARING ITBA/AST/S/143(3)/2024-25/1073985615(1) ISSUED BY THE RESPONDENT NO.2 FOR THE ASSESSMENT YEAR 2023-24 HEREIN MARKED AS ANNEXURE - A. AND ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks the following reliefs: “i) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the order passed U/s 143(3) r.w.s 144B of the Act dated 04/03/2025 bearing ITBA/AST/S/143(3)/2024-25/1073985615(1) issued by the Respondent No. 2 for the assessment year 2023-24 herein marked as Annexure - A. ii) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notice under section 270A of the Act, dated 04/03/2025 bearing DIN No.ITBA/PNL/S/270A/2024-25/1073985767(1) by the Respondent No. 2 for the assessment year 2023-24 herein marked as Annexure - A1. iii) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notice u/s 272A(1)(d) of the Act dated 04/03/2025 bearing DIN No. ITBA/PNL/S/272A(1)(d)_FL/2024-25/1073985373(1) by the Respondent No. 2 for the assessment year 2023-24 herein marked as Annexure - A2. iv) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notice u/s 271AAC(1) of the Act dated 04/03/2025 bearing DIN No. ITBA/PNL/S/271AAC(1)/2024-25/1073985768(1) by the Respondent No. 2 for the assessment year 2023-24 herein marked as Annexure A3. v) And pass such other orders as this Hon'ble Court deems fit and proper in the interest of justice and equity.” 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. A perusal of the material on record will indicate that the respondent having issued notices under Section 142(1) dated 02.09.2024 and 07.11.2024, petitioner did not submit any reply to the same and as such, respondent No.2 proceeded to pass the impugned exparte assessment order at Annexure-A dated 04.03.2025 under Section 143(3) read with Section 144B of the Income Tax Act, pursuant to which, respondent No.2 issued the impugned penalty notice dated 04.03.2025 at Annexure-A1 under Section 270A of the Act, penalty notice dated 04.03.2025 at Annexure-A2 under Section 272A(1)(d) of the Act and penalty notice dated 04.03.2025 at Annexure – A3 under Section 271AAC(1) of the Act and as such, the petitioner is before this Court by way of the present petition. 3. A perusal of the material on record will indicate that the respondent having issued notices under Section 142(1) dated 02.09.2024 and 07.11.2024, petitioner did not submit any reply to the same and as such, respondent No.2 proceeded to pass the impugned exparte assessment order at Annexure-A dated 04.03.2025 under Section 143(3) read with Section 144B of the Income Tax Act, pursuant to which, respondent No.2 issued the impugned penalty notice dated 04.03.2025 at Annexure-A1 under Section 270A of the Act, penalty notice dated 04.03.2025 at Annexure-A2 under Section 272A(1)(d) of the Act and penalty notice dated 04.03.2025 at Annexure – A3 under Section 271AAC(1) of the Act and as such, the petitioner is before this Court by way of the present petition. 4. In this context, it is pointed out that inability and omission on the part of the petitioner to submit replies to the notice under Section 142(1) of the Act issued by the respondents and to participate in the proceedings was due to bonafide and unavoidable circumstances and sufficient cause and consequently, the petitioner was not in a position to issue reply or appear before the respondents and participate in the said proceedings. It is submitted that the petitioner has a good case to urge on merits and if one more opportunity is granted in favour of the petitioner, the petitioner would submit its reply along with the documents and participate in the proceedings and as such, it is necessary that the impugned order at Annexure –A be set aside and the matter be remitted back to the respondents by providing one more opportunity to the petitioner to submit its reply to the notices and direct the respondents to proceed further in accordance with law. 5. Per contra, learned counsel for the respondents submits that despite sufficient opportunity being granted in favour of the petitioner, the petitioner did not send its reply nor participated in the proceedings and consequently, the impugned order does not warrant interference by this Court and the petition is liable to be dismissed. 6. A perusal of the impugned order at Annexure – A will clearly indicate that the same was passed in the absence of the petitioner, who did not avail the opportunity provided by the respondent, who has proceeded to pass the impugned order. In view of the aforesaid facts and circumstances and specific assertions on the part of the petitioner that due to bonafide reasons, unavoidable circumstances and sufficient cause, the petitioner was not in a position to send reply enclosing documents and contest the proceedings and in order to provide one more opportunity to the petitioner, by adopting a justice oriented approach, I deem it just and appropriate to set aside the impugned order and remit the matter back to the respondents for reconsideration afresh in accordance with law after providing one more opportunity to the petitioner in this regard. 7. In the result, I pass the following: ORDER (i) The petition is hereby allowed. (ii) The impugned assessment order at Annexure – A dated 04.03.2025 passed by respondent No.2 followed by penalty notice at Annexure-A1 dated 04.03.2025, penalty notice at Annexure-A2 dated 04.03.2025 and penalty notice at Annexure-A3 dated 04.03.2025, are hereby set aside. Annexure – A dated 04.03.2025 passed by respondent No.2 followed by penalty notice at Annexure-A1 dated 04.03.2025, penalty notice at Annexure-A2 dated 04.03.2025 and penalty notice at Annexure-A3 dated 04.03.2025, are hereby set aside. (iii) Matter is remitted back to the stage of petitioner submitting reply to Notices under Section 142(1) dated 02.09.2024 and 07.11.2024 and to proceed further in accordance with law. submitting reply to Notices under Section 142(1) dated 02.09.2024 and 07.11.2024 and to proceed further in accordance with law. (iii) Matter is remitted back to the stage of petitioner submitting reply to Notices under Section 142(1) dated 02.09.2024 and 07.11.2024 and to proceed further in accordance with law. submitting reply to Notices under Section 142(1) dated 02.09.2024 and 07.11.2024 and to proceed further in accordance with law. (iv) Liberty is reserved in favour of the petitioner to file its reply, pleadings, documents, etc., before respondent No.2, who shall consider the same and pass appropriate orders in accordance with law. file its reply, pleadings, documents, etc., before respondent No.2, who shall consider the same and pass appropriate orders in accordance with law. (v) All rival contentions are kept open and no opinion is expressed on the same. opinion is expressed on the same. Sd/- (S.R.KRISHNA KUMAR) JUDGE MDS List No.: 2 Sl No.: 41